Operations Strategy and Technology Jan.2016
1. Concept of reconciliation
Explain what companies need to reconcile from an operations strategy point of view
Once the capabilities of its operations resources are unlikely to be in perfect alignment with
the requirements of its markets, companies need to reconcile of market requirements with
operations resources. The objective of operations strategy is to attempt this alignment over
time without undue risk to organization. Therefore, the process of reconciliation is an
ongoing and iterative process.
The concept of reconciliation is included with the definition of operations strategy:
Operations strategy is the total pattern of decisions that shape long-term capabilities of
any type of operation and their contribution to overall strategy, through the reconciliation
of market requirements with operations resources.
What the essential elements of operations strategy
Top down, bottom-up, market requirements and operations resources
What the content of operations strategy
The ‘content’ of operations strategy is the building blocks from which any operations
strategy will be formed. This includes the definition attached to individual performance
objectives, together with a priority of those performance objectives. It also includes an
understanding of the structure and options available in the four decision areas of capacity,
supply networks, process technology, and development and organisation.
1. Concept of reconciliation
Explain what companies need to reconcile from an operations strategy point of view
Once the capabilities of its operations resources are unlikely to be in perfect alignment with
the requirements of its markets, companies need to reconcile of market requirements with
operations resources. The objective of operations strategy is to attempt this alignment over
time without undue risk to organization. Therefore, the process of reconciliation is an
ongoing and iterative process.
The concept of reconciliation is included with the definition of operations strategy:
Operations strategy is the total pattern of decisions that shape long-term capabilities of
any type of operation and their contribution to overall strategy, through the reconciliation
of market requirements with operations resources.
What the essential elements of operations strategy
Top down, bottom-up, market requirements and operations resources
What the content of operations strategy
The ‘content’ of operations strategy is the building blocks from which any operations
strategy will be formed. This includes the definition attached to individual performance
objectives, together with a priority of those performance objectives. It also includes an
understanding of the structure and options available in the four decision areas of capacity,
supply networks, process technology, and development and organisation.
